Sui Denies $400 Million Sell-Off Rumors Amid Market Concerns

Amid allegations of insider trading, the Sui project is addressing concerns that $400 million worth of SUI tokens have been sold off.

A crypto analyst known as Light recently claimed that insiders of this layer-1 project were offloading their tokens, citing a distribution chart from the recent initial coin offering (ICO).

Light expressed concern that developers, who likely have a deeper understanding of the token’s potential, are selling large quantities to less informed investors seeking quick profits. He cautioned that this trend often leads to unfavorable outcomes for retail buyers.

In response, the Sui Foundation emphasized that these transactions originated from an infrastructure partner, not from project insiders.

They stated that no employees from the Foundation or its development partner, Mysten Labs, have engaged in selling tokens, nor have they violated any lockup agreements.

The Foundation also highlighted that all token lockup protocols are strictly enforced by qualified custodians and are subject to continuous monitoring to ensure adherence.